bummer man... I assume you have "upside down" forks, in which case you have gauged your stantion tube (I think)... if you are lucky, the suspension does not travel down far enough for this to be an issue... if your not, it will probably wreck your fork seals prematurely, if not immediately, and you will notice oil dripping from them...
That doesn't mean it HAS to be repaired unless it goes through seals faster than you want to replace them, or if it is deep enough to be a structural issue and compromises the integrity of the fork leg...
I have seen gauges that went seemingly forever without ever ruining a seal.... and I've seen others that ruined the seal on the first pump of the fork... at very least you should try to make sure it is a smooth gauge (file/sand it if there are sharp edges) if you intend to ride it like that