In the Lone Star State, the age of majority is 18. Whether your child is heading to Austin or College Station or backpacking through Big Bend, their privacy becomes a locked vault the moment they blow out those 18 candles. The moment your child turns 18, they are legally an adult – and in many ways, a stranger to you.
This is why estate planning for young adults is so important for young adults and their families. Even at a young age, having the right estate planning documents in place can make all the difference in protecting your family and ensuring access when it matters most.
1. Medical Power of Attorney (MPOA)
A medical power of attorney is one of the most important tools when creating an estate plan for a young adult. A MPOA allows your child to designate you as their agent to make medical decisions and oversee medical treatment if they become incapacitated or unable to communicate.
- Texas Requirements: It must be signed by your young adult. To be legally valid, it requires two witnesses OR it must be acknowledged before a notary public.
- The “Informed” Gap: Even with an MPOA, doctors may hesitate to talk to you if the child is conscious. Your child should also sign a HIPAA Release. This is the “permission slip” that lets doctors share updates (like a diagnosis or vitals) even if your child is just sleeping or too groggy to talk.
2. Statutory Durable Power of Attorney (FPOA)
A financial power of attorney gives you the authority to step in and handle financial decisions when your young adult cannot. This is your “business” pass. If your child is at school and their bank account is frozen due to fraud, or they need to sign a lease for an off-campus apartment, you have zero authority to step in without this.
- The “Durable” Part: For a young adult, you want the FPOA to be immediately effective. In Texas, “durable” means the power stays in effect even if your young adult becomes incapacitated.
- Requirements: This must be notarized. It allows you to handle banking, taxes, government benefits, and even matters related to life insurance.
3. FERPA & The “College Wall”
The Family Educational Rights and Privacy Act (FERPA) is a federal law, but Texas universities follow it strictly. Even if you pay the tuition for your young adult, the school cannot give you access to grades, disciplinary records, or financial aid status.
- The Fix: Your student must sign a specific FERPA Waiver through their university’s registrar (e.g., UT’s “MyUT” or A&M’s “Howdy” portal).
- Financial Access: Most schools have a separate “Authorized User” status for billing. Your child must manually add you so you can discuss the bill with the bursar.
4. Wills, Crypto, and the “Digital Ghost”
When people think about estate planning and probate, they often assume it only applies later in life. But estate planning includes planning for digital and financial assets – even at a young age.
“Kids these days” often have more assets in the cloud than in a physical bank. If your child is trading crypto on Coinbase or has a Robinhood account, a Will is the only way to ensure those assets don’t vanish into the blockchain.
- Stuck in Court: Even young adults have assets that can force a family to go through a Texas probate court process to get access to the assets of your young adult. This can cost thousands in legal fees and take several months.
- Holographic Wills: In a pinch (like the night before a trip), a holographic will (a will written entirely in your young adult’s own handwriting and signed) can get the job done. This is never the best case scenario for estate planning but it is better than not having a Will at all.
Scenario: The Summer Trip Emergency
Imagine your son is on a summer hiking trip in West Texas and suffers a severe heatstroke. He is airlifted to a hospital, unconscious.
- Without Documents: The hospital may refuse to tell you he is even there. If surgery is needed, doctors must rely on state “surrogate” laws, which follow a strict priority list as to who can make decisions when your young adult cannot. This can cause delays – even for close family members.
- With Documents: You present the Medical POA and HIPAA Release. The doctors immediately bring you into the loop for medical treatment decisions. You use the Financial POA to manage his car payment or rent while he is sidelined – providing true peace of mind during a stressful time.
Scenario: The College Financial Snag
Your daughter is at school and realizes her financial aid hasn’t hit, and she’s being threatened with a “late drop” from her classes.
- Without Documents: You call the school; they tell you they can’t confirm she is even a student. You call the bank; they won’t speak to you.
- With Documents: Because she signed the FERPA Waiver and the Financial POA, you can call the financial aid office, resolve the paperwork error, and speak to the bank to ensure her tuition check clears.
The “Must-Have” Checklist for the 18th Birthday
Final Thought
A basic plan doesn’t have to be complicated – but it does need to be intentional. Estate planning for young adults is about more than documents; it’s about making sure the people who love them can step in when needed.
Working with an experienced estate plan lawyer or estate planning attorney can help ensure everything is done correctly and tailored to your family’s needs.
At the end of the day, creating an estate plan is one of the simplest ways to provide clarity, access, and lasting peace of mind for everyone involved.
Ready to Take a Closer Look?
Having an estate plan is just as important at 18 as it is at 80… just for different reasons. If you’d like to chat about your family and how to make sure you’re planning to support your young adult, take advantage of our complimentary 15-minute introductory call.
This material was created by Packsaddle Law PLLC for educational and informational purposes only. It is not intended as tax, legal, or investment advice. For legal advice tailored to your specific situation, please consult a qualified attorney.