The veteran striker drilled home from Jordan Marshall's corner and pounced on a rebound to make it 2-0 at the break.
John Rankin added to the lead with a tap in before Chris O'Neil pulled one back in the 75th minute.
Lyndon Dykes restored the hosts' three-goal cushion almost immediately, chipping goalkeeper Graeme Smith to put the game beyond doubt.
Match ends, Queen of the South 4, Brechin City 1.
Second Half ends, Queen of the South 4, Brechin City 1.
Substitution, Queen of the South. Jesse Akubuine replaces Kyle Jacobs.
Jack Leighfield (Queen of the South) wins a free kick in the attacking half.
Foul by Paul McLean (Brechin City).
Foul by Shaun Rooney (Queen of the South).
Kalvin Orsi (Brechin City) wins a free kick in the defensive half.
Substitution, Brechin City. Elliot Ford replaces Chris O'Neil.
Goal!  Queen of the South 4, Brechin City 1. Lyndon Dykes (Queen of the South) right footed shot from a difficult angle on the left to the high centre of the goal.
Corner,  Queen of the South. Conceded by Sean Crighton.
Goal!  Queen of the South 3, Brechin City 1. Chris O'Neil (Brechin City) right footed shot from very close range to the bottom right corner. Assisted by Ally Love.
Foul by Kyle Jacobs (Queen of the South).
Finn Graham (Brechin City) wins a free kick in the attacking half.
Andy Stirling (Queen of the South) wins a free kick on the right wing.
John Rankin (Queen of the South) wins a free kick in the attacking half.
Attempt missed. Kyle Jacobs (Queen of the South) right footed shot from outside the box is close, but misses to the left.
Foul by Chris O'Neil (Brechin City).
Foul by Finn Graham (Brechin City).
Attempt missed. Shaun Rooney (Queen of the South) right footed shot from outside the box is high and wide to the right.
Substitution, Brechin City. Jordan Sinclair replaces Gary Fusco.
Substitution, Brechin City. Kalvin Orsi replaces Isaac Layne.
Corner,  Queen of the South. Conceded by Willie Dyer.
Attempt saved. Derek Lyle (Queen of the South) header from the centre of the box is saved in the centre of the goal.
Chris O'Neil (Brechin City) is shown the yellow card for a bad foul.
Andy Stirling (Queen of the South) wins a free kick in the defensive half.
Foul by Chris O'Neil (Brechin City).
Attempt saved. John Rankin (Queen of the South) right footed shot from the left side of the box is saved in the centre of the goal.
Foul by John Rankin (Queen of the South).
Andrew Jackson (Brechin City) wins a free kick in the defensive half.
Foul by Jordan Marshall (Queen of the South).
Andrew Jackson (Brechin City) wins a free kick on the left wing.
Substitution, Queen of the South. Andy Stirling replaces Daniel Carmichael.
Goal!  Queen of the South 3, Brechin City 0. John Rankin (Queen of the South) left footed shot from the centre of the box to the centre of the goal.
Willie Dyer (Brechin City) is shown the yellow card.
Foul by Shaun Rooney (Queen of the South).
Ally Love (Brechin City) wins a free kick on the left wing.
Attempt missed. Andrew Jackson (Brechin City) left footed shot from the right side of the box is too high.
Foul by Shaun Rooney (Queen of the South).
Finn Graham (Brechin City) wins a free kick in the attacking half.
Corner,  Queen of the South. Conceded by Sean Crighton.
Derek Lyle scored twice as Queen of the South battered Championship new boys Brechin City.