HR (Human Resources) and payroll are distinct but interconnected functions within a business, with HR managing the overall employee lifecycle and payroll focusing specifically on accurate and timely employee compensation. HR handles strategic elements like recruitment, benefits, and employee relations, while payroll executes the financial aspects, including calculating salaries, managing tax withholdings, and issuing paychecks. While separate, effective collaboration between the two is crucial for proper compliance, employee satisfaction, and efficient organizational operation.