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Preheat oven to 350 degrees
Heat olive oil in a pan over medium heat
Add onion and garlic saute until softened
Remove from pan and let cool slightly
Combine beef, bread crumbs, egg, milk, 1&1/2 tsp salt, pepper and 1/4 can tomato sauce.
Add sautéed onion and garlic
Gently mix together until well incorporated
Shape into loaf and place in loaf pan
Combine rest of tomato sauce, water, vinegar, brown sugar, mustard, worcestershire and pinch of salt
Stir to combine
Pour all liquid over top of meatloaf
Place in 350 degree preheated oven for 70 to 80 minutes until internal temperature reads 160 degrees
Remove pan from oven and let cool 10 to 15 minutes
Remove meatloaf from pan and slice
Spoon sauce over sliced meatloaf.