Alex Hunt:
Hi, I am Alex Hunt. I'm the founder and managing attorney at Hunt Law Firm. Our law firm handles a variety of family law matters, serving the greater Houston area. We have offices in Katy, Cypress, Sugarland, and League City, and we're happy to be here with you today in our very first podcast in our brand new living room podcast studio. We hope to bring you some content with some conversations with attorneys, legal experts, experts in related fields like finance, business, real estate. And we're starting these conversations because after speaking with our clients and our prospective clients, and frankly just our family and our friends, we saw a gap and a need to explain some of these more complex legal terms and legal concepts or legalese. And so we're here to decode and demystify some of that legalese. This is meant for informational and educational purposes for the community.
It's not meant to be legal advice. It doesn't create an attorney-client relationship. We're just looking to get some content out for you, the community, and hopefully hear from you in the comments. Get some questions, let us know what you'd like to see future content be about. So we decided that our very first topic should be one that we get a lot of questions about and that's estate planning. And so we're going to provide a bit of an overview and then we're going to take a deeper dive into an area that we get a lot of questions about, particularly from younger people and parents that have younger kids. That's the 18 to 24 year old age range, college kids, new adults. A lot of them think, I don't need to have a will, I don't need to have an estate plan. And we're here to tell you differently. There are some things that are must haves, there are some things that are nice to haves, but you should have an estate plan in place, and we're going to talk a little bit about what that looks like. So our first guest is attorney with Hunt law firm, Bri Holcombe, and she is one of our family law attorneys, but she also has a focus in estate planning as well. So welcome Bree.
Bri Holcombe:
Thank you. Thank you for having me.
Alex Hunt:
Okay, so let's start. First just tell us very briefly, what is an estate plan? What is estate planning?
Bri Holcombe:
So estate planning is not only planning for death but also planning for incapacity. And when you're young, dying is not something that is near in the future. You feel invincible. So what we want to do is we want to have a plan in place for if that happens, but also in the event that you become incapacitated.
Alex Hunt:
Okay, so 18 year olds, we often will get questions either from their parents or from them, what do I need to have? I'm about to go off to college, I'm about to go off to the military. I'm about to start my life. And a lot of them think, like you said, they're invincible and that they don't need anything. In fact, there are quite a few documents that would be really, really helpful. Among those are a HIPAA release, a durable statutory power of attorney and a medical power of attorney.
Bri Holcombe:
Absolutely.
Alex Hunt:
At the very least I would say those three documents are the must haves for people that are in that 18 to 24 age range. Beyond that, there are some nice to haves. A lot of 18 to 24 year olds don't have a large estate, and so there maybe isn't that urgent need for a complex will. Things like a living will where you're having to make decisions about end of life decisions, things about declaration of guardian in case the need exists. Those are nice to haves, but they're certainly not must haves. Take us through some of those must haves starting with the HIPAA
Bri Holcombe:
Release. Yeah, so the HIPAA release is a document that says these individuals can have access to my medical records. We always want our medical power of attorney to have access to our medical records. Reason being is because they're making a decision for us, they're making a medical decision when we are not able to. You want your medical power of attorney to be informed and have information related to your care and related to the medical conditions that you may have. Just because you are 18 doesn't mean that your parent has access to your medical records, you've become an adult and the parent can't necessarily just go and request those medical records because they're protected and they're yours. So having a HIPAA release allows your medical power of attorney to not only make an informed decision but also make one that's going to be in your best interest with the full picture and the full information.
Alex Hunt:
And you were telling me off camera while we're preparing for this, that there was a situation that arose in your own life with a friend of yours where man, a HIPAA release would've come in handy for this person. Absolutely. Tell me a little bit about that.
Bri Holcombe:
So when I was in college playing intramural softball, my roommate got hit in the head with a softball, you're in college, you're nowhere near your parents who can make those decisions for you. We had to get on the phone, call her parents, have them come down here or have them come down to Waco to make decisions and make calls. But they had to jump through some hoops approving, Hey, I'm the parent. If you don't have these documents in place, there are procedures and policies to get care, but it might not be the care that that individual wants. My roommate was very fortunate with a wonderful family that she was okay with them making medical decisions. But what if you come from a broken family or have strained relationships and you don't want your parent making care decisions or you don't want your mom, you'd rather have your dad. You want to make sure that your wishes are laid out and that there is a clear plan in place that is meant for you.
Alex Hunt:
I can't think of a worse scenario than I've got. My oldest is 11, but I can't imagine your oldest goes to college, there's an accident, you find out something happens, you're at the hospital and certainly you're next of kin, but you are having to go through bureaucratic paperwork trying to just get information on your child. A HIPAA release would alleviate that. Absolutely. You'd be able to talk doctors, you'd be able to get the information. You'd be able to get medical records immediately. Alright, so you've got your HIPAA release in place and tell me a little, I mean is that complex? What does that look like? It's
Bri Holcombe:
A very, very generalized document that just says, these people can have access to my medical records when I can't consent to give it. This authorization doesn't allow me to, if I had one for you, just go to your doctor and get all of your records. They're going to ask, well, why are you needing them? This is in place for when you cannot consent. So that's why it's so important.
Alex Hunt:
Okay. You've got your HIPAA release in place. Two documents, powers of attorney. One is durable, statutory power of attorney. That's definitely some legalese that need some decoding and then a medical power of attorney. Tell me about durable statutory power of attorney and what does that do?
Bri Holcombe:
So a durable statutory power of attorney often referred to just as a general power of attorney or a financial power of attorney, is a document that says these people can come alongside me and help manage my finances when I can't. For our younger generation, you may have bank accounts or credit cards that your parents no longer have access to, and if something were to happen to you and bills needed to be paid or obligations needed to be fulfilled, you want to make sure someone has the ability to step into your shoes and do that for you. So the financial power of attorney is very important, especially for our younger generation because you want someone there. In the worst case scenario, in the event that something happens and you can't manage your finances anymore
Alex Hunt:
And all of these forms, when should a parent for a child that say they're a senior in high school, say they're going off the military, when should a parent start thinking about these things for their
Bri Holcombe:
Child? I would say the summer between graduating and going off to school, you want to make sure that before your kiddo goes off, you've got these documents in place and that things are ready to go. In that worst case scenario, oftentimes people don't want to think about the worst case, but planning ahead and planning for that worst case is going to make it so much easier and alleviate the pressure that you may be facing in those moments.
Alex Hunt:
And I think a lot of people, they hear these terms, they see these forms, they think I'm engaging a law firm. This is going to be expensive, it's going to be time intensive. One thing that I'll say about our firm and your service that you provide to the clients is it is as easy as could be. It is not expensive. The initial consultation is free. We give you a quote on how much these forms are going to be. You don't have to do the full package. You can just do the forms that you need. And we even have
Bri Holcombe:
Have a bundle.
Alex Hunt:
We have a bundle depending on wherever you are in life, and it is pretty quick too.
Bri Holcombe:
I
Alex Hunt:
Mean, some of our cases where we have had parents that have come during the summer in between their child, senior year of high school, freshman year of college, we'll be able to get these things done in maybe two weeks.
Bri Holcombe:
Oh, I would say less than that. Yeah.
Alex Hunt:
It's
Bri Holcombe:
In and out because in most cases the parent is going to be the one who's authorized to make the decisions. We need your name, address, phone number, we can get these documents moving. I like to think of our practice and the service that we provide is you shouldn't be waiting on us. You shouldn't wait for me to be dragging my feet. You made the step and this is so important for you to get in the door. I'm going to do all I can to push you through.
Alex Hunt:
And it's so easy for folks to go look on legal Zoom or there's other websites like that and I just can't stress enough that's not being reviewed by an attorney. It doesn't have the blessing of an attorney. These forms are getting drafted and have the blessing of our office and you know that it's going to be right. Okay. The last one, medical power of attorney. What is that? Why do you need it?
Bri Holcombe:
Yeah, so a medical power of attorney says, when I can't make decisions for myself, these people are going to step in and make healthcare decisions. It's not financial decisions. That's what our power of attorney is for. So this specifically relates to any sort of healthcare decision. There are things that your medical power of attorney cannot consent to. So some people worry, what if this power gives them broad authority? They can't confine you into a mental institution, they can't consent to an abortion. And there are a couple of other things that your medical power of attorney is prohibited from acting upon. Having this document in place allows you to make medical decisions for someone when they're not able to,
Alex Hunt:
And I think that's what a lot of folks that their kids are starting adulthood. They don't have a family of their own. That's what they're looking for is just if the worst happens, I'm going to make sure that my loved one, my child is protected and that I'm going to still be able to be involved for them. You mentioned a little bit about if there is a child or a young adult that has a family, they're a child of divorce. Tell me a little bit about how that plays into this process.
Bri Holcombe:
So if you don't have these documents, the first thing that they're going to ask is, do you have a spouse? Most 18 to 24 year olds aren't there yet. So if they don't have a spouse, then reverts to your parents. If you've got two parents who went through a contentious divorce or they're no longer speaking with each other, the two of them are going to have to make a decision together. And that is oftentimes very difficult when you're already in a situation. For example, if one of your kids was in a car crash and you're no longer speaking to the other parent, the two of you have to act in that child's best interest. You can't even be in the same room as each other. So that creates a lot of conflict that doesn't need to be there. If you would've executed this medical power of attorney and said, this parent is going to be the one in charge
Alex Hunt:
Like conflict at the worst possible.
Bri Holcombe:
Absolutely.
Alex Hunt:
Okay. So those are the must haves. Tell me about the nice to haves or things that are kind of optional for
Bri Holcombe:
Younger
Alex Hunt:
People starting their lives.
Bri Holcombe:
So I would say first is the will. The will is the document that says when I die, here's where I want my stuff to go. And here's who's going to be in charge. A lot of 18 to 25 year olds may not have any property that is ready to be distributed, and the property that they do have might be held in a non-probate asset, which is things like payable on death accounts, joint accounts, with maybe a parent, any life insurance. If they've got retirement, those things go to the beneficiary designations on those policies or the other account owners. A will is just nice because your wishes are laid out. What if instead of your parents obtaining your property, you wanted to give it to your sibling? If your wishes aren't on paper, there's no no, I don't know what the word is, guideline if you will, for how that property should go.
Alex Hunt:
Sure. And certainly if some 18 to 24 year olds are fortunate enough, they do have an estate. Sometimes that comes as a result. The Justin
Bri Holcombe:
TikTok stars, the
Alex Hunt:
Justin Biebers of the world, they have an estate. They should certainly go and get some more complex estate planning and they have a need for a will. If a younger person that's 18 to 24 though they want to have a will and they don't have the funds in order to put forward, to go to an attorney to get the will, they can get a holographic will. A holographic will is very simply handwriting out your will, not typing it out,
Handwriting out your will and then citing it at the bottom and simply stating what your wishes are. And in Texas that has the same effect as a regular will written out by an attorney. Of course, there are going to be some things that if you get a will from an attorney that we'd certainly like to include, it helped make it a little bit easier for you should there be a probate process. But in the absence of anything else, having a holographic will, which is a handwritten will with your wishes that's just signed by you at the bottom, is something that you can very easily do. And then just put it away for safekeeping, like with your parents or your loved ones, give
Bri Holcombe:
'em a copy,
Alex Hunt:
Give 'em a copy, make sure it's in a safe place, and that's going to set you up a lot better than a lot of other people that are in that 18 to 24 year old age range. Is that what you would recommend? If they do a will either with us or they do a holographic will, should it go to their parents? Should it go to whomever is getting bequests in the will?
Bri Holcombe:
It just depends on what you want. That is the power of creating your own will is that you can give it to whoever you'd like. If you'd want to give it to a charity or you want to give it to a sibling, you've got the power to do that. But if you pass without a will and you've got two living parents, your parents are going to be the one who inherits your siblings are not. Where we find more complexities is what if one parent is no longer with us or both parents aren't with us, then where does the property go? It also depends on how large your estate is. If you've only got a bank account, a holographic will is definitely for you. But if you have created a successful influencer career, you want to make sure that everything in your estate is taken care for care of.
Alex Hunt:
Okay. So take me somebody that wants to do one of our packages, either like the 18 to 24 package or the whole package. What does the process look like from the time that they're either reaching out on our website or they're calling us to the closing out the case? What does the process look like?
Bri Holcombe:
So the first step is our intake coordinator. Just make sure she's got all of our information. There's typically not many conflicts of interest when we have our estate planning, but our intake team runs a conflict check, and then what they do is they set us up with an initial consultation. A consultation can be anywhere from 30 minutes to an hour where we talk through all the documents, we talk through what they are, what they do, and who you think would be best to be in charge of each of those documents. Sometimes you have parents who maybe are more financially savvy while another one may be more able to make healthcare decisions. You can pick and choose who you want to make these decisions for you. So once we talk it over and you decide who you want to be in charge of each of these documents, then what we do is we prepare drafts.
What we do is we send you drafts with a big draft watermark on 'em. You look 'em over, you review 'em, and you make sure that you understand what they say. I don't want you signing documents if you don't know what's inside. There's a lot of legalese. People often get scared, but we want to break it down for you and make sure that you know what powers you're giving these people and what these documents do. So once you've approved your documents, we bring you into the office for our signing ceremony. We'll have two witnesses and a notary. We'll sign all the documents in their original form, prepare a estate planning binder where we put the actual original copies, but we also provide you with A U S B. That way you can make copies, give them to your agents so that they can act when the time.
Alex Hunt:
Okay, great. You have a goldendoodle?
Bri Holcombe:
I do.
Alex Hunt:
He's your child.
Bri Holcombe:
He is. Don't ask me how many beneficiaries in the will for my son.
Alex Hunt:
So a lot of 18 to 24 year olds may not have children, but they do have pets. Is that something that can be accounted for in that estate planning?
Bri Holcombe:
Absolutely. So the thing about pets is that pets are personal property. So if you want your pet to go to someone specific, you want to make sure that your wishes are written out. My son has a line of seven people that he would go to in the event. The first one's not there. We've got a second, third, fourth, fifth, seventh
Alex Hunt:
In event. There some cataclysmic event that he survives.
Bri Holcombe:
Exactly. Or we're all on vacation. And you've got his line.
Alex Hunt:
Got to be very well taken care
Bri Holcombe:
Of. He is.
Alex Hunt:
Is there anything else that you think parents or young people need to know or should know to know about this process before we wrap up?
Bri Holcombe:
Yeah, I think that it's just important for you to have those conversations with your now young adult. It's hard because you look at this child who just turned 18 and is going off to college and you still think that they're your baby, but they have reached the age of majority and they're able to go and act on their own. And you want to have these tough and these hard conversations to appoint people and make sure that they're taken care of when you leave.
Alex Hunt:
Certainly. Well, Bree, thanks for joining us in our inaugural podcast. And if folks want to find more information out about Hunt Law Firm, they can go to family lawyer katie.com. Thanks for joining
Bri Holcombe:
Us. Yeah, you're welcome. Thank you.