Removing wood paneling seems quite simple at first.  You just take a pry bar and pop it off the walls.  The glue doesn’t hold very well and the nails are small and easily pull through the wood.  Unfortunately since this was the 2nd room I was doing (the first was Jess’s office), I knew that getting the paneling off is the easiest part.   Once its off, you have to scrape and sand the glue off of the wall, and then spackel up all the holes.  Disposal of the paneling is also a pain, since the 4×8 sheets don’t easily fit out the door,  and the garbage men won’t take them.   To do that I stacked the sheets up, took my trusty reciprocating saw, and cut them into pieces small enough to fit in a box that I could put out at the curb.  Wasn’t overly difficult but it made a huge mess and the wood splinters like crazy.