Final answer:
The payroll department handles tasks like preparing the payroll register, distributing paychecks, and updating employee records, but does not prepare paychecks, which is generally done by another department or an outsourced service provider.
Step-by-step explanation:
The payroll department performs several critical functions but does not prepare paychecks. The tasks typically associated with a payroll department include:
- Preparing the payroll register, which is a record of each employee's pay for the pay period.
- Distributing paychecks to employees, which could also involve coordinating direct deposits.
- Updating employee payroll records with current pay period information and any changes that may have occurred.
However, the actual preparation of paychecks typically involves a different department or is outsourced to a payroll service provider because of the technicalities involved in payroll processing and the need for ensuring compliance with tax laws.