Setting up Hotmail on your Windows Phone is easy and free.* When you sync Hotmail to your phone, you can:
Manage your inbox, including reading, deleting, composing, and replying to email messages.
Access your Hotmail folders, contacts, and calendar.
Send photos and videos.
Get notified when you have new messages.
When you first set up your Windows Phone, you're asked to sign in with your Windows Live ID
(that’s the same as your Hotmail address). If you didn't sign in then―or if you have more than one Windows Live ID—follow these steps:
On Start, flick left to the App list, tap Settings, and then tap Email & accounts.
Tap Add an account, and then tap Windows Live.
If you didn’t sign in with a Windows Live ID during setup, the Before you sign in screen appears. On this screen, tap Next.
Tap the Windows Live ID box, and then type your Windows Live ID.
Tap the Password box, and then type your Windows Live password.
Tap Sign in.