The term "Qualified Savings Bond" refers to a Series EE United States savings bond issued after December 1989 and purchased by an individual at least 24 years old. Series EE savings bonds are guaranteed by the United States government, pay interest, and can be cashed in any time after six months. In addition, Series EE bonds are exempt from state and local tax, and in cases where they are used to pay college expenses, from federal taxes as well. See www.savingsbonds.gov.