preflop he had the better hand, even if it was a coinflip. You got unlucky on the turn. Whenever i take a bad beat, i sit back and "walk-through" how the hand played out...look at the hand from his perspective.
From his perspective, when you limped under the gun, you are trying to disguise a big hand, PONTENTIALLY. Maybe AK, AQ, AJ, KQ. he's sitting there with A8 offsuit, when he flops middle pair...Is he really putting you on KT or AT??? I'm not...and when i flop middle pair im protecting my hand too.

I want to tell you how important it is to raise if you are going to enter a pot. Two things will probably happen here if you raise this hand preflop. 1. He will think about it and fold, thinking may have him crushed with Ace strong. OR 2. he will want to gamble thinking he may have you in a race situation, wich he did, and shove all in to protect his Ace-middle hand. Normally, if this wasn't a short handed table, i would tell you to FOLD FOLD FOLD. KT suited is a pretty hand, but it is a trap hand. That being said, if you decide to play KT suited under the gun, and limp in, be prepared to lose alot of times in a marginal situation such as this one. If you decide to play this hand at a full table, make sure you are raising to see where you're at in the hand.

That being said he only had to call 415 more post flop to win a pot of 850, it's an easy call on his part.