There is not rocket science in this tip, but still many of us have always been pretty much unaware about the tricks of Android. Go to your settings, and tap the option named ‘More’ under Wireless and Networks. I used Sony Xperia S to explain the procedure. I am also presuming that you are not even carrying the data cable with your smartphone.
Open the option named, Tethering or Wifi Hotspot.
Now you can see that there is an option to set the name of the hotspot and also the password associated with it. Before starting the connection you are advised to set and then check the checkbox for the option above it, which will start the hotspot connection. The data pack which you have subscribed on your smartphone will be used in this connection and believe me the rate at which it will be used will be very fast as compared to what you must have experienced on your smartphone. Moreover if you have a 3G connection then only you are advised to use more than 2 laptops for that hotspot, for a 2G connection, one connection will be sufficient. You can also opt to go for Bluetooth tethering provided you have required drivers of the smartphone installed on your laptop. The same is applicable if you have data cable of your smartphone, the first option available on the screenshot mentioned above is for the tethered internet usage. These days for most of the smartphones it is not a problem.