As long as you keep it topped up you can drive, but sooner or later you'll have to fix it.
If it has internal "blow-by", it would be in your best interest to replace now. Internal blow-by is when the brake pedal sinks to the floor when you are sitting at a red light but you are not losing brake fluid.
possible have a bad master cylinder
Well if you continue to drive it with a defective master cylinder, your brakes will eventually fail, and you can end up having a wreck and possibly killing yourself or someone else. Is that enough damage for you? Replace the master cylinder and don't be an idiot.
how do i know the master cylinder is bad ?
The gasket to your clutch master cylinder is probably broken or cracked. or your master cylinder is bad.
Look for leaking fluid at the slave or master cylinder.
If the master cylinder reservoir is empty, you have a leak somewhere. If the master cylinder reservoir is full, the master cylinder is bad.
May be a bad master cylinder, a bad sending unit from the master cylinder or the parking brake or the parking brake is not completely disengaging.
After you have located the clutch slave cylinder, have someone depress the clutch pedal. You should see the piston of the slave cylinder extend somewhat. If it does not, either the slave cylinder is bad, or the master cylinder, or, there is not enough brake fluid in the system for it to operate properly. Check the level in the master cylinder. If the slave cylinder is leaking profusely, it is probably bad.
That depends on where it's leaking out; if it's at the master cylinder, you have a bad master cylinder, if it's at the wheel cylinder you have a bad wheel cylinder if it's at a caliper... well, you get the idea. If you know how to repair a master cylinder, wheel cylinder or caliper, you can often get by with a little savings but it's usually best to just trot down to your local auto parts retailer and get a new or rebuilt one.
bad slave or master cylinder
Yes. The engine will idle poorly when a vacuum power brake booster goes bad. It can be a source of a large vacuum leak. A bad master cylinder however would have no effect on the performance of the engine.
It means your master cylinder needs to be replaced or rebuilt. The seals inside the cylinder can go bad and cause this to happen.