Pastor Frank Starr, in his series, "Life for the Way," offers a good answer.
Some Christians maintain that wrath and punishment is inconsistent with a God of love and mercy. But this view strips God of His holiness, which hates sin and cannot countenance it. God's grace has made a way for us to escape His wrath by providing Jesus as our substitute. On our behalf, the Savior on the cross bore the full weight of God's wrath against our sin.
The writer to the Hebrews speaks of the Lord's discipline in chapter 12:4-17. But the writer offers the greatest reassurance for believers. We "share in His holiness," that is, God sees us in the righteousness of Christ that we received in our baptism. But like a loving father, our heavenly Father disciplines us to "struggle against sin."
What is the result of this disciplining work? We "strive for peace" with all those in our circle of friends and with everyone. In this way others "see the Lord," and God is glorified.