Heat the milk in a heavy-based saucepan over medium heat. Once the milk has warmed, add the cream and bring to a simmer, stirring continuously.
Stop stirring, allow to come to a boil and start to rise. Immediately remove from heat and allow to settle.
Stir the milk gently and slowly then start to add the vinegar. Once it curdles, stop adding vinegar but continue stirring. The curds will coagulate and separate from the watery whey. Add a little more vinegar if there are still milk solids in the whey. Stand for ten minutes to allow it to completely separate.
Line the colander with the muslin. Place over a large bowl or saucepan.
Strain the cheese into the colander and gently squeeze excess whey from the cheese. Retain the whey for other uses.
Sprinkle with the salt and gently fold it into the curds.
Wrap the cheese in the muslin and leave in the colander. Place a weight on top for five minutes. See notes below.
Once pressed and cooled a little, the paneer is finished and ready to eat or use.
notes
Only add enough vinegar to just curdle the milk. Add too much and the paneer will have a strong vinegar taste.
You could substitute lemon juice or whey for the vinegar.
A small pan filled with water makes an ideal weight to press the cheese.
Refrigerated paneer will be firmer and less likely to crumble than fresh paneer.
This fresh cheese won't last long, so make sure you use it within a few days.
If you wish to store the paneer, keep it in the muslin and completely cover it with whey. Keep in a sealed container in the refrigerator.
Retain the whey for other uses. It is an ingredient for making naan, for example.