it's tough being a first grader

Kids have problems like these: "She looked at my underwear." I wish my problems were that simple. My solution to this kid's trouble was: "It's okay. Everyone wears underwear." Problem solved.
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I don't wear underwear.But I do like your site.skipper.
That's pretty much exactly what I would have said.

I use the same tactic when kids say things like "He farted!" or something similar.

:-)
That's clever. I've never had that problem. Or actually, I've never made it a problem.