I goofed on this statement: Since your MDF is 1 GB, I would start with at LDF of 1.5 GB.
First find out what size your database grows by on a daily basis sp_spaceused will help with that. Run it each day and see how the data is growing. Then make your TL start at that amount plus 1/2 (so if your data grows by 10MB each day, a starting size should be AT LEAST 15MB).
Of course, this is just my opinion. And you will have to monitor the growth until you get your amounts correct.
Lastly, if you backup the transaction log or truncate it, there's nothing wrong with leaving the empty space. It will be used by later transactions.
-SQLBill