Here's a great post from another forum on this misunderstood subject
"Fastener engineering has become a science unto itself. Very few folks (even engineers) actually know how to torque a bolt correctly. Here are a few items to think about.
A torque wrench is almost useless for high performance work. The accuracy of bolt tension using a torque wrench is +-30%. The problem is not with the torque wrench but rather that any torque wrench measures frictional torque forces, not bolt tension.
The coefficient of friction of the bolt thread, nut (or threaded material), all washers and clamped material, will determine the torque value needed for a specific bolt tension. Did I mention lubrication, plating, cut or rolled threads? It should quickly become apparent that the only way to determine a torque value for a given bolt is by testing.
As was mentioned earlier, it is an easy matter to construct a bolt torque test fixture. All that is needed is a hardened steel plate of a thickness equal to the distance from the bolt head underside to the threaded surface; the effective bolt length.
In order for any bolt to perform properly, it must be stretched into its elastic range but not into its plastic range. If a bolt is overstretched into its plastic range, it will not return to its original length.
The industry standard (for all bolts regardless of strenth class) for bolt stretch is taken as 1.002 of the bolt effective length. This means that a 4 inch bolt should be torqued until the effective length becomes 4.008 inches. A 6.75 inch bolt should be stretched to 6.7635 inches.
The amount of torque that is required, using the actual bolt, washers, nut, etc., to accomplish the necessary stretch dimension now becomes the target torque value. As long as all components remain the same.
Another approach is to dismiss the use of torque entirely. If the thread pitch is known, we can calculate the angle torque necessary to accomplish the required bolt stretch.
A major pitfall, often overlooked, is the crush of the clamped material and washers. If the clamped material (or washer) is being crushed, it will be very difficult to achieve the required bolt stretch length.
A very high grade bolt can ONLY be used to clamp very rigid material with very hard washers. If a high grade bolt is threaded into low strength material or used to clamp low strength material, the bolt cannot be properly stretched without pulling the threads or crushing the clamped material. If the clamped or threaded material is has low strength, a lower grade bolt must be used. There is a reason why bolts are made to various grades; and it is not a matter of cost.
If a bolt, regardless of grade or tensile strength, is not stretched properly, it will not exert the necessary clamping force. And more importantly it will not be properly tensioned and will come loose and/or will break. LockTite, lock washers, lock nuts, safety wire, etc, are of absolutely NO value unless the bolt is properly tensioned.
If the clamping force is not substantially greater than the dynamic load forces, the bolt will stretch under load into its plastic range, change its length, lose tension and become loose. If a bolt has changed its diameter after use, it has entered its plastic range, reduced its cross sectional area and can no longer carry its design load. It must then be discarded and replaced with a bolt of proper cross sectional area.
If a fully threaded bolt is used, the threaded length will stretch under excessive load and the thread pitch will change. If a nut is run up the threads and it binds, the bolt is junk.
For longer term use in high stress enviornments, corrosion and vibration must also be carefully considered."
http://speedtalk.com/forum/viewtopic.php?p=127281&sid=294a4bd3dad45c63b38ad6f5b893e905