Was do you think he had? And did I play it right to raise on the flop?

Ultimate Bet No-Limit Hold'em, $.02 BB (10 handed) Ultimate-Bet Converter Tool from FlopTurnRiver.com (Format: FlopTurnRiver)

MP2 ($4.56)
MP3 ($1)
CO ($.10)
Hero ($3.49)
SB ($3.70)
BB ($1)
UTG ($.23)
UTG+1 ($.15)
UTG+2 ($1.69)
MP1 ($1.88)

Preflop: Hero is Button with T, T. MP3 posts a blind of $0.02.
5 folds, MP3 (poster) checks, 1 fold, Hero raises to $0.09, SB calls $0.08, 1 fold, MP3 folds.

Flop: ($0.22) 8, 4, 3 (2 players)
SB bets $0.22, Hero raises to $0.6, SB calls $0.38.

Turn: ($1.42) K (2 players)
SB bets $1.42, Hero folds.

Final Pot: $1.42