Confused about roth contributions

[lonomac]

Im getting this, but according to Vanguard I should be able to contribute much more than $6000.  

Roth IRAs offer some great benefits, but there is a maximum contribution of $6,000 ($7,000 if age 50 or older). You contributed $10,132, resulting in an excess contribution of $4,132. Learn More

What vanguard says :

Maximum employer + employee contributions

$57,000

Are these two different things?

[VolvoGirl]

Yes different things.  The 57,000 is for a SEP IRA if you have self employment income.  If you are an employee and get a W2 the limit is 6,000 (7,000) for Traditional IRA and ROTH IRA.

[hbl3973]

Ionomac,

There are actually two types of Roth retirement accounts.  The first, and original, is an Individual Retirement Arrangement, the IRA.  That has the same contribution limit as the traditional, tax-deductible, IRA, which for 2020 was $6,000 ($6,500 if over 50 years of age).  The second type is a Roth option in an employer-sponsored retirement plan, e.g. 401(k) or 403(b) plans.  There the 2020 limit was $19,500 ($26,000 if over 50).  You are allowed to contribute to both up to the respective limits with some income-related and other restrictions.  See, e.g. https://www.thebalance.com/are-you-eligible-to-contribute-to-a-401-k-and-a-roth-ira-2894148 for details on those restrictions.

So, yes, they are two different things and appear in two different TurboTax areas.  The contributions to an employer plan show up as entries on your W-2.  Contributions to IRAs show up under the IRA area.

If, in fact, you did over-contribute to a Roth IRA, you have until May 17th to call Vanguard and undo the damage.  Otherwise you get hit with penalties.