Yah, I was doing it incorrectly.The goal was to have a flush flat metal surface to attach a grille
with magnets on it. The surface t-nuts would then be masked
when the grilles were attached.
Only other option I could think of are fender washers. But those
done sit flush either. The hurricane nuts and t-nuts in general
have a dimple which would allow a flathead screw to be flush. At least
that's the way they look.