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In this video tutorial, Austin Kelly discusses how to write a personal reference letter. He advises only to accept requests to provide a character reference if you know the person well enough to speak positively about their traits relevant to the job. Kelly outlines five essential elements for effective personal reference letters: 1) State the nature of your relationship with the candidate (e.g., volunteered together or neighbor), 2) Mention the duration of your acquaintance (e.g., known for six years), and 3) Highlight positive personal qualities that relate to the candidate's character. Further details on how to structure the letter are implied but not fully elaborated in the provided text.