Try three!
I have this problem too.
Yesterday I upgraded my iPad and ran in to this conflict with the 4 digit passcode.. It rejected it maybe three times... I requested to be authorised by another device and didn't receive a call or text.
Today when I updated my Mac to Sierra the same thing happened again, it won't accept my four digit passcode which I KNOW to be correct.
So, I indicated that I didn't have a device to corroborate my ID and then it allowed me to choose a text or call and it accepted the temporary passcode.
Now, trying to reply to you Lance, it has rejected my first attempt to reply to you. Saying my password had been rejected.
All this makes me feel uneasy. There is so much information on iCloud which I don't want to be locked away from me.
Hoping this glitch will be fixed soon.
Reply rejected again
"
"
As I attempt a forth time to reply I received a red message saying reply unable to be saved, try in a few minutes.
Very unsettling.