You get 5GB of storage (not including iTunes-bought music, iTunes Match and Photo Stream content, video, apps, and e-books) for free or you can pay for increased storage (10GB for $20 per year, 20GB for $40 per year, or 50GB for $100 per year).
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To perform a backup to iCloud, first set up an iCloud account and then tap Settings on the Home Screen.
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Tap iCloud and then tap Storage & Backup.
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In the pane that appears tap the iCloud Backup On/Off switch to enable automatic backups. To perform a manual backup, tap Back Up Now.
A progress bar shows how your backup is moving along.
