Cut away loose drywall material with a utility knife if the damage is caused by a small dent or hole. Sand the damaged area with 80-grit sandpaper.
Apply a thin layer of joint compound with a small putty knife. Cover the damaged area.
Let the joint compound dry. Sand down any bumps with 80-grit sandpaper. Add another layer of joint compound if necessary and let dry. Prime and paint the area as necessary.
Sand the damaged area with a hand sander and a coarse sanding mesh.
Reinforce the ceiling by driving drywall nails into the drywall at the seams. This helps the drywall reattach to the joist.
Thin your joint compound mixture with water. Roll a paint roller with the compound and roll over the damaged or discolored area.
Prime and paint the ceiling.
Draw a box that is one-half inch larger in size around the damaged area. Cut out the damaged drywall area by running a utility knife around the outline you drew.
Place drywall mesh material from the drywall repair kit over the damaged area.
Cover the mesh material with joint compound. Let it dry. Sand down any bumps and repeat as necessary.
Cut out the damaged drywall area to the nearest ceiling joists. Use a drywall saw to make a clean cut.
Screw a 2-by-4 nailer between the joists with 1 5/8-inch long drywall screws. This will provide your new piece of drywall with a supportive backing.
Cut out a new piece of drywall for the hole using a drywall saw. Use 2-inch thick drywall tape to tape around all of the seams.
Dip a 4-inch taping knife blade into the joint compound to cover up about half of the knife. Apply the joint compound to the seams with the knife at a 45-degree angle.
Add two more layers of joint compound, letting the compound dry between each application. Use a 6-inch blade for the second layer and a 10-inch blade for the last layer. Each layer of joint compound will take about 24 hours to dry. Use 400-grit sandpaper to sand the last layer of compound.