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There are a number of ways to share your internet connection from your laptop to other devices  but I am going to introduce to you a software which is simple, pretty much easy to setup and use.
Connectify is a wireless access point for your
computer especially Windows 7 and above. I'v actually not tested it on Windows Vista or lower so you could do that and give me a feedback on the outcome ;).
I'm sure the question on the minds of many is: "why chose connectify?"
Well, I'm going to give you just two reasons why connectify serves my purpose and should serve yours too. After that, I'd explain how to set it up and connect your other devices even your friends' devices to the internet with it!
The first reason is that you can share your Wi-Fi connection with connectify.
How do I mean?
Okay, take for instance you are in a hotel or library with your friends and the hotel or library charges a certain amount of money for every device connected to their Wi-Fi network. Now, you can pay for your laptop's connection to their network, setup your Connectify and select the hotel or library's network as the internet connection you need to share. Your friends can then connect to your Connectify network without having to pay an extra dime. You've already done that! That's what I'd call more value for your money. :)

The second reason is that you can use Connectify for local file sharing.
Now, supposing you are on a trip with a group of friends, maybe one of your course's mandatory field trip with your course mates or perhaps your coworkers in the office, and you all need to work on a project. Unfortunately, there's no flash drive with which to share the files you all need to work on. To solve this, you can just setup a shared drive and ask your friends or coworkers to connect to your network. When they do, all the connected computers would have access to your shared drive. You all can now copy and paste whatever is necessary from and in the shared drive!

I guess that sounds fun?
Now back to the purpose of this article, to setup Connectify for your laptop computer, just follow the steps below:
⇨ First off, you'll need to download Connectify.
⇨ Install the downloaded program.
⇨ After installation, you'd notice a small icon appear on your icon tray that looks like this!
⇨ Click on the Connectify icon to open the program's interface.
⇨ Give your network a name in the Hotspot's Name text field. This is the name users would usually see when they want to connect to your network!
⇨ Similarly, give your network a password in the Password text field. This is the password users would have to enter to connect to your network. You might want to keep it safe so that only people you share it with have access to your network.

Note:
• You can chose to show/hide your password by clicking show/hide beside the password text field.

⇨ Next, you should select which internet connection you want to share by selecting the drop down menu under Internet. You can chose to not share your internet in which case you can only use the hotspots for local sharing eg sharing files, folder, pictures, movies, etc. Alternatively, you select an internet connection (it could be either Wi-Fi or modem connection) from your list of active connections in which case you want to broadcast your internet connection to whoever has your network's password and cares to access it.

⇨ That done, you can now click on Start Hotspot at the bottom right of the Connectify interface!
That's all you need to set up your internet sharing. All you need do now is connect your other devices with which you want to access the internet to your wireless network!
To connect your other devices to the network, put on the device's Wi-Fi, search for available networks (some devices automatically search for networks once the network is switched on). When you see your network name come up, click on it and you'd get a password prompt. Type in the password you created when setting up your Connectify. Hit Select, Enter or OK.

Congrats, you are now connected!
Now you can share your internet connection from your laptop to your PSP, Android, iPhone, iPod, iPad, Blackberry, Windows phone and even your friends!
If you like this article, do well to share it with your friends using the social network links below. Your comments are also very Well welcomed!

DISCLAIMER

This tutorial is purely educational and should not be used for any other purpose different from that specified herein. DaeChuzzy.com shall not be held responsible for any liabilities caused from the application of the methods specified in this tutorials.

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