Now you can update your iPad with the latest software after iOS 5 from iPad itself. You would see a notification about the availability of latest iOS 5.1 on iPad as shown below.
Tapping the Details button would take you to the Software Update section.
You can start installing iOS 5.1 by tapping the Install Now button. Then tap the Done button to verify the update and continue with installation.
Please note that you might have problem downloading the update due to heavy traffic. Try updating the software after some time.
After the installation is complete you can check whether the latest software has been installed by Tapping Settings screen –> General Settings –> Software Update. This should display “iOS 5.01 – Your software is up to date”.