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Bring the milk to a boil in a large pot, stirring occasionally to prevent scorching.
Once the milk comes to a boil, remove from heat and add the lemon juice or vinegar.
Stir gently and you will see the milk solids (curds) separating from the liquid (whey).
Strain the curds through a cheesecloth-lined colander, reserving the whey for other uses.
Gather the curds into a ball and gently squeeze out any excess liquid.
Place the paneer ball between two plates or boards and weigh it down with something heavy, like a can, to help press out more liquid and firm up the paneer.
Let it sit for 15-30 minutes.
Your homemade paneer is now ready to use in your favorite Indian dishes!