Flush draw advice needed

Hello everybody. This is my first post so please be gentle on me!
I am new to playing poker, but have been doing reasonably okay (as in I am up most sessions $25 NL at Empire) and I would like to thank each and every one of you for the wonderful advice on this site.
Anyway, what do you think of my play on this hand - was I right to fold? I figured that the hand that would help me most (AD) would probably cost me more than it would gain me. But it turned out it didn't. However, do you still think I made the correct call?

#Game No : 1020482843
***** Hand History for Game 1020482843 *****
$25 NL Hold'em - Monday, October 04, 11:59:33 EDT 2004
Table Table 12561 (Real Money)
Seat 7 is the button
Total number of players : 10
Seat 1: leecay ( $20.25 )
Seat 3: Katikies ( $25.85 )
Seat 4: pamu5 ( $52.45 )
Seat 7: Ernie_E ( $56.1 )
Seat 8: Edwin789 ( $38.6 )
Seat 10: stackford ( $35.9 )
Seat 2: Hero ( $22.25 )
Seat 9: rysimm1979 ( $11.9 )
Seat 5: herb19192 ( $44.05 )
Seat 6: krazyjim ( $25 )
Edwin789 posts small blind [$0.25].
rysimm1979 posts big blind [$0.5].
krazyjim posts big blind [$0.5].
** Dealing down cards **
Dealt to Hero [ Kd Qd ]
>You have options at Table 11432 Table!.
stackford folds.
leecay calls [$0.5].
Hero raises [$1].
Katikies folds.
>You have options at Table 11432 Table!.
pamu5 folds.
herb19192 calls [$1].
krazyjim calls [$0.5].
Ernie_E folds.
Edwin789 folds.
rysimm1979 calls [$0.5].
leecay calls [$0.5].
** Dealing Flop ** [ Ah, 2d, Jd ]
rysimm1979 checks.
leecay bets [$3].
Hero calls [$3].
herb19192 calls [$3].
krazyjim folds.
rysimm1979 folds.
** Dealing Turn ** [ 7c ]
leecay bets [$4].
Hero folds.
herb19192 calls [$4].
** Dealing River ** [ Ad ]
leecay bets [$5].
herb19192 raises [$10].
leecay calls [$5].
herb19192 shows [ 7d, 8d ] a flush, ace high.
leecay doesn't show [ Ac, Kc ] three of a kind, aces.
herb19192 wins $40.15 from the main pot with a flush, ace high.

{This post has been removed}

Never min-raise pre-flop. The turn bet was weak, you must call it.

Thank you for your replies.
Quick question for Fnord:-
What do you mean by min-raise? On this table the minimum raise is .50 and i raised $1.
Also, if I am correct in assuming that I should never minimum raise (or just above the minimum!) what do you consider the minimum raise for this table? 2 dollars? 3 dollars?
My bets pre-flop tend to be 1, 2 or 3 dollars, depending on strength of hand, position and number of callers. I find that quite often everyone folds to raises higher than this.

Did you not raise TO $1, as the blind was already at 50c, hence it's a 50c raise.

Oops, sorry - I did say I was new to the game!

The play was a little week. On the turn you had, at least to your knowledge, 12 outs - 9 diamonds for the flush including 10d and the other 3 10's. So you had almost 25 percent chance of completing your draw.

Quick pot odds calculation:

On the Flop with 2 cards to come - #of outs * 4
On the Turn with 1 card to come - # of outs * 2

Here, 12 outs * 2 = 24% chance to complete your draw.

Pot was $12 by the turn he put in another $4 for a total of $16, of course you don't know what the guy behind you was going to do but he weakly called for a pot of $20. So you were getting 5:1 on your money if you called the $4 turn bet which would make the call correct.

Also, as noted before, don't raise the minimum. Although, I sometimes do from early position with big PP like AA and KK.