I think everyone's a bit confused re the personal hot spots issue! The ipad dose not display a personal hotspot icon.
You set up your personal hot spot on your phone I have iphone 4 and had no problem setting up by wifi and blue tooth.You can either pair your ipad with blue tooth you can then go on the internet etc.Or set up your personal hot spot,it will be named the same as your phones name.You then join the wifi connection using the wi-fi password displayed on your phone.Its just the same as joining any other network.
As I have wireless internet at home I only need to use my personal hotspot when away from home where there isnt any free wi-fi.My ipad goes every where with me so its great to be able to use it by sharing my phones wi-fi.