Roll out the fiberglass insulation on the basement floor.
Cut the fiberglass insulation rolls roughly the length of the basement ceiling beams, using a utility knife. It does not matter if the insulation strips overlap slightly.
Stuff the insulation strips between the gaps along the ceiling beams. The insulation should stay in place long enough for you to attach drywall over it.
Enlist a friend to help you lift the drywall boards to the ceiling and mark their locations. Draw a pencil mark on the top and bottom edges of the first drywall board, directly where it meets the middle of the furthest ceiling beam. Cut off the excess drywall so you can attach the board directly in the middle of the ceiling beam.
Remove the drywall board from the ceiling. Draw a straight line across the board so the two pencil marks meet. Use the tape measure or a straightedge to line up the two pencil marks.
Run the blade of the utility knife down the pencil line you drew on the drywall.
Stand the board on its edge. Bend it outward as you put pressure in the area of your pencil line. The excess area of the drywall should snap away from the rest of the board.
Place the drywall piece back on the ceiling. Hammer it in place with the galvanized nails. Drive the nails into the ceiling beams through the dry wall in each corner first. This will pin the drywall to the ceiling and allow you to hammer nails around the edges.
Repeat the process for each piece of drywall until you have covered the whole basement ceiling.