One of the most inexpensive methods to keep your basement from becoming soggy is installing a baseboard waterproofing system. With this system you have given up on keeping water out of the basement. What you do now is collect the water that comes in and divert it to a sump.
Since water that comes into a basement will leak out of the bottom of the wall it is predictable. If it is predictable it can be dealt with.
The way this works is that an L shaped plastic gutter is secured to the basement floor and bends to meet the wall several inches above the ground. Water that seeps into the wall remains in the gutter and the water is diverted downhill into a sump which then removes the water from the basement. The easiest way for water to go downhill is now through your gutter system.
As an alternative to digging out your foundation this can be a very inexpensive.