Q:

Why doesnt this motor activate? edit

Its 3v motor and my source is about 5.14v.

A:

You can't wire an LED and motor in series like that.
When the motor is stopped the LED gets the full start current of the motor and the voltage dropped across the LED will be large. The LED will burn out quite quickly and it will also drop enough volts while it does that for the motor to not start. 
If you want the LED on when the motor is on, wire it in parallel as shown below.

simulate this circuit – Schematic created using CircuitLab

