I had this idea about the Fourth Age being the Age of Legends. Elves were becoming increasingly rare, but a few still remained in Middle-earth. Dwarves and Hobbits were around, although they rarely participated in the affairs of Men. Orcs/goblins, Trolls and Dragons still existed in scattered bands or as solitary creatures to waylay hapless travelers.
While the official timeline ends with the end of Eldarion's reign in the year 220, later events may still be remembered today as fairy tales such as Snow White and Rumpelstiltskin. Of course, the actual events would be somewhat different from the way we remember them.
Just a thought.