I take 50 mg tramadol every other day that helps me to sleep also. Is that bad for my health?

Stage 3 isn't too bad, unless it is progressing or kidney failure. If not, you should be fine. I take Tramadol, 150-200 mg daily. Tramadol is metabolized in the liver and eliminated by the kidneys. It has not so far had any adverse impact upon my kidneys.