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Make sure you have keychain turned ON on your mac. I had turned it on and couldn't get it to work until I restarted by computer AFTER I had turned keychain on in system preferences -> iCloud ->keychain.
 
I'm just not seeing the option. Anyone else have this problem?

Mac and iPhone are on same WiFi, using same Apple ID on both.

I don't have Keychain enabled and it works fine for me. I read in another thread that if you log out of iCloud on your Mac then log back in it will work. Verified by a few members too.
 
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