Learning Hebrew on the Internet for Mostly Free

1. Learn how complicated Hebrew is...
http://www.lookstein.org/online_journal.php?id=81

2. Learn about the alphabet
http://www.biblicalhebrew.com/alphabet.htm

3. Study the alphabet in detail by studying each letter one at a time in wikipedia.
http://en.wikipedia.org/wiki/%D7%99
http://en.wikipedia.org/wiki/%D7%94
http://en.wikipedia.org/wiki/%D7%95
Those are just the ones I had bookmarked but you can copy and paste any Hebrew character into a Wikipedia search to learn more about it.

4. Get a vocal recording of Hebrew so you can hear genuine pronunciation of the language. I choose the Hebrew psalms on cd.
http://www.hebrewworld.com/Psalmsongs1.html
Also here are some great resources for listening to pslams and hebrew online
http://www.shma-israel.org/music.php
http://www.shma-israel.org/narrations.php
http://www.mechon-mamre.org/p/pt/pt2601.htm

5. Study one psalm or part at a time. I choose to start with song #16 because it was the shortest.

6. Pick out the main words in the psalm.
עבדו את־יהוה בשמחה באו לפניו ברננה
http://www.mechon-mamre.org/p/pt/pt2601.htm
psalms in English and Hebrew
http://www.hebrewsongs.com/psalm0index.htm
pronunciation of psalms in Hebrew written out.

7. Study the individual letters in the words and compare them to the way they are spoken to understand how each letter sounds when spoken. Get to know each letter so that you can read the word as it would be spoken. Remember the all forms of God are either not spelled correctly or pronounced correctly, so don't get hung up there.

8. Make Study flash cards like this one, inorder to help you study the words.
http://www.flashcardexchange.com/mycards/view/435437