Thread engagement calculation is based on the axial loading of the joint. If your joint is only loaded transversely, then the screw preload is the only axial load. It is best to assume that the screw may be accidentally overtightened, and use the screw's tensile strength as the upper limit. Then, calculate the required thread engagement based on the shear strength of the internally threaded part. thread725-35222 has equations to use.
Regards,
Cory
Please see FAQ731-376 for tips on how to make the best use of Eng-Tips Fora.