Hello abc794,
Preflop: Mainly made a huge mistake here by raising it so small.

It ain't even a 2x raise. I'd do it ~$0,30.
As played
Postflop: If you planning to continue on flop then rather get it in. Although I would be more often inclined to make the crying fold here. There are just so many sets possible, even straight possible 2pairs possible, a lot of combodraws against you don't get that great equity. Therefore more often if he is rather passive player then I'd just Bet/Fold it while I played such a play preflop.
Best regards.