It's the Universal Indiana Witticism

Guy #1, poked with pencil: Shit! That hurt!
Guy #2: That's what she said!
Guy #1: What?
Guy #2: That's what she said.
Guy #1: That doesn't even make any sense...
Guy #2: That's what she said!
Guy #1: Dude! You're not even using it right!
Guy #2: That's what she said!
Guy #1: Go fuck yourself! [Walks away.]
Guy #2, yelling back: That's what she said!

Carmel, Indiana

Overheard by: POS