We calculate the spin transport of hydrogenated graphene using the Landauer-B\"uttiker formalism with a spin-dependent tight-binding Hamiltonian. The advantages of using this method is that it simultaneously gives information on sheet resistance and localization length as well as spin relaxation length. Furthermore, the Landauer-B\"uttiker formula can be computed very efficiently using the recursive Green's function technique. Previous theoretical results on spin relaxation time in hydrogenated graphene have not been in agreement with experiments. Here, we study magnetic defects in graphene with randomly aligned magnetic moments, where interference between spin-channels is explicitly included. We show that the spin relaxation length and sheet resistance scale nearly linearly with the impurity concentration. Moreover, the spin relaxation mechanism in hydrogenated graphene is Markovian only near the charge neutrality point or in the highly dilute impurity limit.